the collection determination allocation assessment interpretation and control of cost data particularly the cost of production in a manufacturing concern from the raw materials direct labor factory overhead and all other cause and v incident in each stage of production of the finished goods

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01-02-2022
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the collection determination allocation assessment interpretation and control of cost data particularly the cost of production in a manufacturing concern from the raw materials direct labor factory overhead and all other cause and v incident in each stage of production of the finished goods

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Usera3777idn Usera3777idn · Answer 1 · 2022-02-01T14:21:33+08:00

KEY TAKEAWAYS:

•Cost accounting is used internally by management in order to make fully informed business decisions.

•Unlike financial accounting, which provides information to external financial statement users, cost accounting is not required to adhere to set standards and can be flexible to meet the needs of management.

•Cost accounting considers all input costs associated with production, including both variable and fixed costs.

•Types of cost accounting include standard costing, activity-based costing, lean accounting, and marginal costing.

Understanding Cost Accounting;

Cost accounting is used by a company's internal management team to identify all variable and fixed costs associated with the production process. It will first measure and record these costs individually, then compare input costs to output results to aid in measuring financial performance and making future business decisions.

Types of cost:

Fixed Cost

Variable Cost

Operating Cost

Direct Cost

Indirect Cost

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